New Funding for Economic Transformation in Austria

PeopleOther ♦ Published: March 1, 2023; 13:04 ♦ (Vindobona)

The Ministry of Labor and Economic Affairs (BMAW) has announced a new funding track under the Climate and Transformation Offensive. The Austrian Research Promotion Agency (FFG) supports the Austrian economy in the transformation and the BMAW provides €300 million for research funding until 2026.

Minister Kocher also talked about "building up and expanding technology leadership". / Picture: © Bundeskanzleramt (BKA) / Christoper Dunker

Economic transformation is important to Austria because it is necessary for the country to be competitive in the global economy. Austria needs to be able to adjust to the changing economic climate, new technologies, and the emergence of new markets.

The Austrian Research Promotion Agency is the central implementation partner for this large-scale climate and transformation offensive. The additional funding budget is intended to strengthen the competitiveness, resilience and independence of domestic companies and to build sustainable value chains in Austria, as Labor and Economic Affairs Minister Martin Kocher explained.

Transformative developments mean high development costs and speed in switching to new technologies. To support the Austrian economy in its sustainable and digital transformation, the Federal Ministry of Labor and Economic Affairs is providing an additional 300 million euros or so for the period 2023 to 2026 to promote applied, entrepreneurial research.

FFG Managing Directors Henrietta Egerth and Klaus Pseiner stated, "We will do our utmost to support the federal government's transformation offensive with research and technology funding and qualification measures and look forward to many exciting and forward-looking submissions."

The focus of the transformation offensive is on the key sectors of automotive, semiconductors (also concerning the European Chips Act), life science and digitization. Funding is provided for the development of products, services and processes that make a significant contribution to sustainability, crisis resilience, independence (e.g. security in supply chains), social challenges, or the expansion of competencies (transformative corporate projects).

The many millions of euros are intended to stimulate investments that will support the transformation to a site based on renewable energies. Industry and small and medium-sized enterprises (SMEs) will be supported, it is said. There is also a special budget from the Ministry of Energy (BMK), according to the Ministry of Labor and Economy.

About the FFG

The Austrian Research Promotion Agency is the national funding agency for applied research and development in Austria and supports Austrian companies, research institutions and researchers with a comprehensive range of funding and services.

FFG is owned by the Republic of Austria. Owner representatives of the federal government are the Federal Ministry for Climate Protection, Environment, Energy, Mobility, Innovation and Technology and the Federal Ministry of Labor and Economic Affairs.